Tactical Review - Market Analysis for Apr 13th, 2020

Let's talk tactics again while this is slow. Per the webinar,how you approach this action depends on how long you've been, what timeframe you play, and how closely watch your trades. Some considerations: 

Price Action: 

1. We are not finishing good impulses down. So, while I lean bearish based on levels, this is the sort of action that gets bears excited then wipes them out. I'd say my bearish view is just one foot in the water still. We should have seen more follow-through. 

2. Given the above, I'll be surprised we see $4K. I even wonder about mid $5K's. 

Strategy

1. If you are very long, derisking a bit is reasonable. 

2. If you have not been long off $3700 this is a reasonable range to accumulate with a stop at $4K. Take it very slow, because $4K can break even though I'd be surprised. so, until we have a clear impulse to push us over $7300 there is no need to rush in. 

3. This can be a good playland for scalping both ways but very difficult with this chop. 

4. If you only trade every once in a while and don't watch trades closely accumulating is smart, but you really should keep more cash than someone who watches their trades like a hawk. 

Ryan Wilday hosts the Cryptocurrency Trading service on ElliottWaveTrader.net.